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Brunello Cucinelli's Buy Rating Kept as Berenberg Notes 'Highest' Growth Visibility in Luxury Sector
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05:28 AM EDT, 08/20/2026 (MT Newswires) -- Berenberg reiterated its buy rating on Brunello Cucinelli (BC.MI), saying the company is a "quiet compounder" with the "highest" growth visibility in the luxury sector. "Brunello Cucinelli has delivered among the highest and most consistent growth rates and RoEs in the luxury sector. The company is well positioned to sustain this position with a 10% revenue CAGR and mid-20% RoEs going forward, a potent combination for shareholder value creation," the research firm said Thursday, adding that Brunello Cucinelli continues to be its "top pick" in the luxury sector. "We believe bear concerns on wholesale exposure and discounting risk are misplaced and that analysts' focus on margins, not RoEs, is a mistake." Against this backdrop, the research firm maintained its sales, EBIT, and EPS projections for the company from 2026 to 2028. The stock's price target was unchanged at 97 euros. "At 31x two-year forward P/E, Brunello Cucinelli trades at the lower end of its 15-year range and in line with its pre-2017 average, unlike its aspirational peers," Berenberg wrote. "A return to the pre-2019 average growth premia, consistent with its superior growth dynamics, would imply 30%+ relative outperformance in Brunello Cucinelli's share price."
Disclaimer:This article represents the opinion of the author only. It does not represent the opinion of Webull, nor should it be viewed as an indication that Webull either agrees with or confirms the truthfulness or accuracy of the information. It should not be considered as investment advice from Webull or anyone else, nor should it be used as the basis of any investment decision.
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